1ARTICLE REVIEW Introduction and Background It has been alleged that supply chain management depends solely on the connections and relationships.The existing literature suggests some of the relationships which play an essential role for achieving success in supply chain management. The term relationships connote a range ofaspects in the supply chain management. There are the transactional relationship tactical ones, the internal relationships and many others too. There are other relationships too among the members of the supply chain community. Few of the most significant challenges of supply chain are the quality customer service, the costing, the risk management, supplier relationships, fast- changing markets, the unforeseen delays and many others(Fernie & Sparks, 2018).In this paper , the article of Beth S, Burt DN, Copacino W, Gopal C, Lee HL, Lynch RP, and Morris that is titled as Supply Chain Challenges: Building Relationships will be reviewed. The authors of this article have taken up the challenge related to the supplier relationships and highlighted the key aspects.The article will be summarized and analyzed on the basis of its problem statement, methodology, the argument and the claims and the logics underneath. Lastly, the paper will conclude by summing up the important points and recommend for future study. Problem Statement and Methodology The article probably starts with the problem statements itself. The article starts with the idea that despite years of process breakthrough along with elegant solutions with technologies, an adaptive and agile supply chain still remains an elusive goal. The issue with most of the business organization is that they consider supply chain as something covered up with software and systems whereas the truth is that it is about talent and not technology. The main question that has driven the authors is how people could be made to work together in the growing complexity of the current market.
2ARTICLE REVIEW The article is the form of a roundtable conversation that has gathered many leading thinkers and doers in the particular field of supply chain managementsuch aspractitioners Scott Beth of Intuit, Sandra Morris of Intel, and Chris Gopal of Unisys. Additionally Hau Lee from Stanford and David Burt from the University of San Diego have brought about the latest research. The consultant’s perspectives have been added by Robert Porter of Warren company and William Copacino from the Accenture company. All the leads have presented a wide- ranging view of these types of topics such as the role of the chief executives along with the latest technologies and they have explored both the strategic and tactical techniques in the recent stage of the supply chain management(Beth et al., 2003). The problem is put in the context by the senior editor of Harvard Business Review Julia Kirby who explored the issues properly and provided adequate information regarding the obstacles and opportunities in the management of supply chain. He has also presented that there are issues with the talent development, the use of latest technologies and the role of the chief executive. The gap has been found out by him that is widening between the average performers and the supply chain leaders. As far as the methodology of the article is concerned, it is evident that the article is rather an edited transcript of the conversation in the panel. Moreover, the opinionsofJuliaKirbyalsohavebeenpresentedforminganotherstrongbaseforthe development of the problem statement. As per the views of Julia Kirby, direction of priorities have changed a lot in the last two years due to the economic downturn and plunging into overcapacity.The article has followed the question and answer method to discuss about the issues and address them one after another. The article has made plenty use of case proofs and examples and there are clear correlations between the claim and the evidence. The article uses no primary sources because no survey or interview has been conducted. It is pretty evident that all
3ARTICLE REVIEW the information have been extracted from the real-life experiences and exploration of the supply chain of different organizations(Zhong et al., 2016). According to my views, since the members of the panel are self-sufficient in terms of evidence and validity of arguments, it is an adequate method to address the issues. The members of the panel have been in this filed for a long time and continuously researching on this topic to bring more improvements. Analysis and Discussion In the article, regarding the diversified priorities of supply chain management, Chris Gopal has pointed out that through the past years, the security concerns have changed since the government has imposed new requirements and regulations on the supply chain of firms. Chris Gopal also points out the need for an adaptive supply chain strategy and talks about necessity of scenario planning model. As a contrast William Copacino declares that the focus has been shifted from planning to execution when there are still huge scopes in the planning sides.He further elaborates on the shift to the basic such as WMS and MES along with RFID due to the changing need in the market and demand for security. Another most important point has been raised by Julia Kirby that the focus has been drastically shifted to cost reduction from speed increase. In this respect, Robert Porter Lynch has suggested that this has occurred due to the meltdown of the stock market and the “knee –jerk reaction” of the chief financial officers are leaving the supply chain in a negative manner. The most serious fact is that most of the companies are using the ‘cost-cutting’ strategy to gain competitive advantage.Hau Lee puts a contrasting argument saying he has surveyed on few hugely successful companies who have become great not by focusing on the cost cutting strategy but with their capacity to manage transitions efficiently. They have concentrated more on their abilities to adopt the evolving
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4ARTICLE REVIEW technology, the changing market conditions and the different requirements. Based on his experiences, he claims that those companies can go long term which have the ability to adopt the change. Providing an instance of Zara, it is pointed out that the companies need to handle the crisis management properly and Zara has become able to do so. This strategy has been presented as the ideal triple –A supply chain strategy consisting of the agility, adaptability and alignment. Providing the case of Volvo as an instance, Lee claims that sometimes companies run up to the capacity limit while giving special deals on a specific product. Volvo made planet of green cars in the year 1995 but could not sell them all. After selling those on special deals secretly by the sales and marketing people. Hence, undoubtedly the article has abundantly used the case studies of companies to strengthen the arguments. The claim have found base when company instances are used as references by the people of the panel. These real-life references have made the arguments more logical, clear and convincing presented with a simple language and easy flow of words(Garcia & You, 2015). The arguments are consistent throughout the paper because it is the question answer format hence giving scope to everyone to share their thoughts in for or in against. Undoubtedly the arguments are backed by facts from the well-known companies such as Dell and Walmart and others too. All the members have contributed a lot making the reading easy and the issues and seen from everyone’s perspectives. Conclusions and Recommendations The article concludes with one of the most significant aspects of a supply chain hat is the value chain.As Lynch pointed out that value chain is the most neglected part but it is the important of all. People need to think about it and work on it equally as they do on supply chain. On the other hand, there are companies such as the South west Airlines which have focused more on the value chains. The ultimate recommendation is that if the value chain is properly focused
5ARTICLE REVIEW on and managed, the issues with the supply chain can be resolved upto greater extent and companies can overcome the procurement and supply related concerns. I believe that that the recommendations are completely feasible because supply chain and value chain are not so different and these two are intricately related. When the value chain would be worked on , the supply chain of the company will automatically get organized. However, on a concluding note it has to be acknowledged that the article is a wonderful piece of information and worth reading for the current marketing generation.
6ARTICLE REVIEW References Beth, S., Burt, D. N., Copacino, W., Gopal, C., Lee, H. L., Lynch, R. P., & Morris, S. (2003). Supply chain challenges. building relationships.Harvard business review,81(7), 64-73. Fernie, J., & Sparks, L. (Eds.). (2018).Logistics and retail management: emerging issues and new challenges in the retail supply chain. Kogan page publishers. Garcia, D. J., & You, F. (2015). Supply chain design and optimization: Challenges and opportunities.Computers & Chemical Engineering,81, 153-170. Zhong, R. Y., Newman, S. T., Huang, G. Q., & Lan, S. (2016). Big Data for supply chain management in the service and manufacturing sectors: Challenges, opportunities, and future perspectives.Computers & Industrial Engineering,101, 572-591.